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A multi-billion dollar acquisition, an IPO forecast and some good VC and billionaire drama?
It wouldn’t be fair to say this week felt like the 2021 boom cycle in tech and startups. Especially when you see this year’s fourth strike from Trupil and Meta’s announcement that he will end hiring. At the same time, they feel that there is a new feeling in the air. Heck, NFT marketplaces are still raising money.
The market is not numb, but it is not screaming; And the feeling among my sources is certainly closer to horror than savagery. Besides, yes, I grew up writing poetry about falling leaves before I decided I wanted to be a journalist, and I say all this just to prove the difference.
The following are the ideas I will be looking at at the end of the year.
- What happened to the Black Swan notes? At the beginning of the recession, investors turned to portfolio companies to warn of an increasingly volatile environment. That conversation hasn’t gone away, but it’s definitely quieted down. So, what is the new directive to portfolio companies?
- What is the human side of the layoff story? My colleagues Mary Ann And Christine This week taught us all an important lesson, that stories of downsizing don’t have to revolve around the employer. The two of them talked about the human cost of the Better.com layoffs – full story here – and I don’t want to steal that idea. I want to talk to people affected by the Tech 2022 wave of layoffs and hear what the next steps look like. I’ve heard it’s more complicated than “you should have known your company was overextended when it started.”
- Finally, what are startups preparing to do differently? I’m guilty of this, but we often talk about startups and tech. I want to know what startups have learned this year and are doing things differently tactically. It doesn’t count for more discipline or focus on the product; Give me specifics, and better yet, tell me where you disagree with your investors.
Let me know what you think by tweeting I or reply to this post. If you missed last week’s newsletter, read it here: “Tiger Global, fickle checks and the difficulty of acceleration.” He also recorded an accompanying podcast here: “Publicly building startups has an expiration date.
In today’s newsletter, we talk about the beauty of pillars, an innovative way to ensure that your startup hires entrepreneurial people and is among the latest global 500.
If you like this newsletter, do me a quick favor? Forward to a friend, share on Twitter. And fight me to thank you for reading myself!
Reminder that poles work
TC’s Rebecca Szkutak writes about how one pillar of HopSkipDrive has helped overcome a difficult situation for parents: Trust your kids with our ride-sharing service.
Here’s why it’s important: As we discussed in the new Equity Podcast, sometimes we’re all a hop, skip, and a jump away from success. The “Uber for X” model has been around for a few years, so the story behind HopSkipDrive and its loyal partner stood out to me. Who says schools aren’t experiments!
Image Credits: Ivan Bajik (Opens in a new window) / Getty Images
A different version of CVC, I think
News broke this week that Cloudflare has raised $1.25 billion in funding for startups using its platform. Well, sort of.
Here’s why it’s important: The security, performance and integrity company has not raised typical venture capital from other companies seeking to attract entrepreneurial attention. Instead, Cloudflare acquired dozens of venture firms Providing Investing in companies up to 1.25 billion dollars in their existing funds. Because we don’t know how regular those support offerings are, and Cloudflare has little or no financial support, it’s a little softer than a traditional investment vehicle.
To me, the commitment tells us that Cloudflare wants to show startups that they can not only use their software, but also make a coin.
Image Credits: Getty Images
follow up
I’m experimenting with a new segment in Startups Weekly where we track an old story or trend each week to see what’s changed since our first look. This week, 500 Global, we’re following up on our discussion of accelerator and demo days by looking at how early 500 startups think about it.
Here’s what’s new: It’s been a little over a year since Fast 500 Startups changed to 500 Global to rebrand itself as a venture firm. In my latest episode of TechCrunch+, I spoke with Clayton Bryan, Partner and Head of the 500 Global Accelerator Program, about how to keep up with the competition. Taken below!
The investor highlighted the effectiveness of the spin-off, which its two main accelerator competitors, Y Combinator and Techstars, do not. Three years ago, 500 Global said it would decide on investments throughout the year, not just twice a year. Show Days still happen every two years, but starters can choose which Show Days they want to be a part of.
“That change really resonated with the founders,” says Bryan. He compared the previous edition of the Global 500 to a school with an annual schedule: there is homework time, sit-ins and summer vacations. Now, it’s year-round, and he admits it’s more challenging to manage, “but at the same time, it’s more appreciated by the founders.”
I think it makes us more competitive. “We can talk to founders frequently and they can start our program at different times. They don’t have to wait for the application to open or for that deadline to expire. However, [with] Some other programs might say, ‘Hey, wait a couple more months because we’re accepting applications again.’ I think transparency and flexibility give us a bit of an advantage.
Image Credits: Best Designs / Getty Images
A few notes
We’re less than a month away from TechCrunch Disrupt, and I’m already emotional. It will be a week of explosions, talks, insights and inevitability. Here’s the full agenda and where to get tickets.
- First use special reader discount code “STARTUPS” for disruptive tickets. We’re less than a month away!
- We also have specials for those affected by layoffs. If you’re fired, go here to get a free ticket to TechCrunch Disrupt’s Expo.
While I’m with you, let’s talk a little. As you know, I host Fairness, TC’s longest-running podcast, which comes out three times a week. We’ve got some great ones to listen to, including Chain Reaction and our founder-focused episode of Found. The TechCrunch podcast is also unmissable, so keep an eye out for all the good shows they’re putting out.
Featured on TechCrunch.
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Same time, same site, next week?
Image Credits: Bryce Durbin / TechCrunch
